In a letter to shareholders, Amazon said it now has one million robots operating in fulfilment centres helping with stowing, picking, sorting and intra-facility transport. The online retailer also reported that Prime Air, its drone delivery service, now has a design that will scale, "with plans to serve communities with 30 million customers by year-end, and expects to deliver half a billion packages by the end of this decade (with an aim to deliver inside 30 minutes)."
Written by CEO Andy Jassy, the letter also noted that AWS’s annual AI revenue run rate was more than 15 billion US dollars in the fist quarter of 2026. Jassy said the second version of Amazon's custom AI silicon (Trainium2) has about 30% better price-performance than comparable GPUs, and has largely sold out. Trainium3, which just started shipping at the start of 2026 and is 30-40% more price-performant than Trainium2, is nearly fully-subscribed, he added.
"At scale, we expect Trainium will save us tens of billions of capex dollars per year, and provide several hundred basis points of operating margin advantage versus relying on others’ chips for inference," Jassy estimated. "Our annual revenue run rate for our chips business (inclusive of Graviton, Trainium, and Nitro—our EC2 NIC) is now over 20 billion dollars, and growing triple digit percentages year-on-year."
If Amazon's chips business was a standalone business, and sold chips produced this year to AWS and other third parties (as other leading chips companies do), its annual run rate would be 50 billion dollars, according to Jassy. "There’s so much demand for our chips that it’s quite possible we’ll sell racks of them to third parties in the future."
Source: Amazon shareholder letter
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